IQVIA™ Institute for Human Data Science Study: Spending on Cancer Meds in the U.S. Doubled from 2012-2017 – Expected to D...
May 24 2018 - 7:00AM
Business Wire
- Despite increasing costs to payers, the
average patient with commercial insurance paid less than $500 per
year for outpatient non-retail medicines in 2017
- For retail medicines, patients often
use coupons to reduce out-of-pocket cost at pharmacies
- All oncology drugs launched in 2017
carried list prices above $100,000 per year in the U.S.
- The top 35 cancer drugs account for 80
percent of total global cancer spending
- More than 700 cancer drugs are in
late-stage development — up more than 60 percent from a decade
ago
- The global cancer drug market will
reach $200 billion by 2022, averaging 10-13 percent annual growth,
while the U.S. market is expected to grow 12-15 percent annually
during the same period
The IQVIA™ Institute for Human Data Science found in its latest
report, Global Oncology Trends 2018: Innovation, Expansion and
Disruption, that spending on cancer drugs in the U.S. has doubled
since 2012, reaching almost $50 billion in 2017, with two-thirds of
the growth tied to drugs launched within the past five years. Those
drug costs are expected to double again by 2022. Outside the U.S.,
oncology drug costs exceeded $60 billion in 2017, driven by new
product launches and increased use of existing brands.
The study also showed wide differences in final out-of-pocket
costs for U.S. patients paying for cancer medicines based on drug
choice, manufacturer prices and insurance plans. While outpatient
drugs often result in high costs for payers, the patient
responsibility averages less than $500 per year for commercial
plans and patient costs for retail drugs are often reduced by
extensive use of coupons, which offsets high-cost exposure.
“Payers continue to be challenged as they seek value and fund
access to the latest oncologic treatment options,” said Murray
Aitken, IQVIA senior vice president and executive director of the
IQVIA Institute for Human Data Science.
“The surge in innovation brings new dimensions of complexity,
even as the availability of predictive biomarkers and diagnostic
tests can help bring a more precise course of treatment to an
individual patient,” Aitken said. “There are also a number of
disruptive technologies that will reshape healthcare and cancer
specifically, including data science that incorporates artificial
intelligence and real-world data, as well as advances in patient
engagement through mobile apps.”
Additional highlights of the Global Oncology Trends 2018
report include:
- Advances in Cancer Therapeutics:
14 new cancer therapeutics were launched in 2017. All of them were
targeted therapies and 11 received “Breakthrough Therapy” status
from the FDA — demonstrating substantial improvement over existing
therapies on one or more clinically significant endpoints. Since
2012, a total of 78 approved therapies have been launched —
relating to 24 different tumor types — with some treating multiple
tumor types. Last year, PD-1 and PD-L1 inhibitors were used to
treat patients with 23 different tumor types, of which the primary
use was lung cancer. The new medicines launched in 2017 represented
significant clinical advances and contributed to patients’ overall
survival across a range of tumors and mechanisms.
- Use and Spending Levels for Cancer
Treatments: Global spending on cancer medicines — both for
therapeutic and supportive care — rose to $133 billion globally in
2017, up from $96 billion in 2013. Spending on cancer medicines is
heavily concentrated among the top 35 drugs, which account for 80
percent of total spending. List prices of new cancer drugs at
launch have risen steadily over the past decade, and in the U.S.
the median annual cost of a cancer drug launched in 2017 exceeded
$150,000, compared to $75,000 for new cancer treatments launched 10
years ago. Most cancer drugs — including those with high annual
costs — are used by relatively few patients. An estimated 87
percent of oncology drugs were used by fewer than 10,000 patients
last year.
- Pipeline of Therapeutic
Innovation: The industry’s pipeline reached an historic level
of more than 700 molecules in late-stage development in 2017, up
more than 60 percent from a decade ago. Trials using biomarkers to
stratify patients susceptible to response made up 34 percent of
oncology trials in 2017. The pipeline of immunotherapies is
particularly active and includes nearly 300 molecules with 60
separate mechanisms being evaluated in Phase I or Phase II clinical
trials. These drugs are being tested against 27 different tumor
types, indicating the broad-based application of this new approach
to cancer treatment. While many efforts seek to shorten the
“molecule-to-market” timeline, new drug approvals in 2017 had a
median time span of 14 years from patent filing, only slightly
faster than 2013.
- Outlook for Oncology Through
2022: Advances in technology and the use of information will be
driving forces that affect oncology treatment and costs throughout
the next decade. Most notably, mobile cancer apps are being used —
albeit in small numbers — across the patient journey, from
prevention to survivor support. Apps are also being incorporated
into clinical trials as an adjunct to other interventions or for
validation. In fact, last year there were 15 published studies that
found positive impacts of cancer apps across a range of uses. The
global market for oncology therapeutic medicines is projected to
reach $200 billion by 2022, averaging 10-13 percent growth during
that time, while the U.S. market is expected to reach $100 billion
with an average growth rate of 12-15 percent for the same
period.
The full version of the report, including a detailed description
of the study methodology, is available at
www.IQVIAInstitute.org.The study was produced independently as a
public service, without industry or government funding.
About the IQVIA Institute for Human Data Science
The IQVIA Institute for Human Data Science contributes to the
advancement of human health globally through timely research,
insightful analysis, and scientific expertise applied to granular
non-identified patient-level data.
Fulfilling an essential need within healthcare, the Institute
delivers objective, relevant insights and research that accelerate
understanding and innovation critical to sound decision-making and
improved human outcomes. With access to IQVIA’s institutional
knowledge, advanced analytics, technology, and unparalleled data,
the Institute works in tandem with a broad set of healthcare
stakeholders to drive a research agenda focused on human data
science, including government agencies, academic institutions, the
life sciences industry, and payers. More information about the
IQVIA Institute can be found at www.IQVIAInstitute.org.
About IQVIA
IQVIA (NYSE:IQV) is a leading global provider of advanced
analytics, technology solutions, and contract research services to
the life sciences industry. Formed through the merger of IMS Health
and Quintiles, IQVIA applies human data science — leveraging the
analytic rigor and clarity of data science to the ever-expanding
scope of human science — to enable companies to reimagine and
develop new approaches to clinical development and
commercialization, speed innovation, and accelerate improvements in
healthcare outcomes. Powered by the IQVIA CORE™, IQVIA delivers
unique and actionable insights at the intersection of large-scale
analytics, transformative technology, and extensive domain
expertise, as well as execution capabilities. With more than 55,000
employees, IQVIA conducts operations in more than 100
countries.
IQVIA is a global leader in protecting individual patient
privacy. The company uses a wide variety of privacy-enhancing
technologies and safeguards to protect individual privacy while
generating and analyzing the information that helps customers drive
human health outcomes forward. IQVIA’s insights and execution
capabilities help biotech, medical device and pharmaceutical
companies, medical researchers, government agencies, payers, and
other healthcare stakeholders tap into a deeper understanding of
diseases, human behaviors, and scientific advances in an effort to
advance their path toward cures. To learn more, visit
www.IQVIA.com.
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IQVIA Media RelationsTor Constantino,
+1-484-567-6732tor.constantino@iqvia.comorIQVIA Investor
RelationsAndrew Markwick,
+1-973-257-7144andrew.markwick@iqvia.com
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